Digital Health Market to reach USD 40.28 billion in 2030, at a CAGR of 20.8%

The Digital Health Market stood at USD 181.0 billion in 2023-e, and is projected to grow at a CAGR of 6.4% through 2030 to reach USD 279.4 billion. Rise in AI, IoT, and Big Data Is Driving the Digital Health Market Growth

Digital health encompasses various tools and platforms like mobile health (mHealth) apps, wearable devices, telemedicine, Electronic Health Records (EHRs), and health information systems. The primary objective of digital health is to improve healthcare delivery, boost patient outcomes, and empower individuals to actively manage their health.

Software is estimated to be the fastest-growing segment in the digital health market as software enhances healthcare delivery, patient care, and overall health outcomes through the use of digital tools. Software is developed to streamline processes, improve communication between patients and physicians, and offer inventive solutions for both healthcare professionals and patients. Many players in the market are concentrating their efforts on the development of advanced platforms to facilitate access to digital products for patients.

In July 2022, AmerisourceBergen, a healthcare company developed and launched “DTx Connect”. It is a fully integrated ordering, dispensing, and fulfillment platform that has been developed to streamline patient access to physician-prescribed digital therapeutics and diagnostics. This platform seamlessly integrates electronic medical records (EMR) to allow physicians to effortlessly access patient data. Physicians can prescribe both prescription and non-prescription DTx through their e-prescribing workflow, and monitor subsequent patient fulfillment.

Telehealth involves utilizing digital communication technologies to provide healthcare services remotely. This includes the exchange of medical information and the delivery of clinical care through virtual means, allowing healthcare professionals to engage with patients, diagnose conditions, monitor health remotely, and conduct consultations without requiring physical visits. The rising prevalence of chronic disease and the changing shift of medical services towards remote monitoring are shaping the digital health market. Telehealth offers personalized health solutions and enables regular check-ins and monitoring of chronic conditions.

For instance, in February 2023, Softermii, a US-based software development company stated that according 2022 survey in the US, 38% of patients accessed healthcare through telehealth services. In the aftermath of the pandemic, telemedicine has evolved into an essential component of basic medical services.

Asia Pacific is the fastest growing market due to the growing aging population and rising adoption of advanced technology integrated with digital health. AI holds the promise of enhancing care by making it more efficient and accessible to a broader population. Despite its potential benefits, the advancement of AI initiatives in healthcare has been hindered by substantial concerns regarding patient safety and a shortage of high-quality data.

This scenario is undergoing transformation, and progress is already evident. According to Asian Hospital & Healthcare Management, healthcare organizations are at the forefront of AI investment. The study revealed that 44% of surveyed healthcare organizations reported a consistent increase in AI investment across various major business functions.

The key companies in the digital health market are actively working on technological innovation to sustain their position in global market. The digital health market is dominated by key players such as Abbott, Beckman Coulter, Medtronic, J&J MedTech, Philips Healthcare, GE Healthcare, Abbott, Siemens Healthineers, Teladoc, Samsung Healthcare, and McKesson.